House prices have inertia, which may be because housing-market participants need time to recognize long booms and … recessions. Within a dynamic stochastic general-equilibrium model with markets for housing and defaultable mortgages, I consider …

House prices have inertia, which may be because housing-market participants need time to recognize long booms and … recessions. Within a dynamic stochastic general-equilibrium model with markets for housing and defaultable mortgages, I consider …

This paper examines the welfare cost of rare housing disasters characterized by large drops in house prices. I … construct an overlapping generations general equilibrium model with recursive preferences and housing disaster shocks. The … likelihood and magnitude of housing disasters are inferred from historic housing market experiences in the OECD. The model shows …

We explore how house prices evolve under technological progress, when housing serves for consumption as well as store …

This paper examines the welfare cost of rare housing disasters characterized by large drops in house prices. I … construct an overlapping generations general equilibrium model with recursive preferences and housing disaster shocks. The … likelihood and magnitude of housing disasters are inferred from historic housing market experiences in the OECD. The model shows …

We explore how house prices evolve under technological progress, when housing serves for consumption as well as store …

This paper studies the preferential tax treatment of housing that can be ob- served in many industrialized countries … housing, namely its usage as collateral. In a borrower-lender framework, where private loans are assumed to be non …-enforceable and have to be collat- eralized by housing, optimal fiscal policy should disburden constrained bor- rowers by subsidizing …

developments in housing and housing finance. The general conclusion is that financial and macroeconomic developments have increased … the demand for the stock of housing. Because the stock of housing is inherently slow to adjust, this has increased its …

Much of the literature on the effect of housing wealth on consumption has been embedded in a simple life-cycle model in … which housing price changes work as a wealth effect. In such models, windfall gains in housing always lead to positive … changes in consumption. However, this might constitute a fallacy of composition. Such models ignore that changes in housing …

In this paper, we seek to quantify the importance of state-level housing price spillovers and interest rate shocks to … importance of interstate housing price spillovers. Beyond real house prices and real income per capita, each state … importance of housing price spillovers is state dependent, with shocks occurring in states with relatively lower land supply …